The deal, to start on January 1, 2013 and to continue until further notice, will see Veisto effectively cease its sawn timber business.
Koskisen will be responsible for raw material deliveries and final product sales, with Veisto continuing to own the mill, running production and employing existing staff. Volumes are expected to remain at current levels.
"Through this arrangement Koskisen sawn timber sales will increase by around 30,000m3 and log procurement by around 75,000m3," said Koskisen.
"Despite the poor market situation in the sawn timber business, Koskisen Oy seeks with this arrangement to increase the group turnover and profitability."
Koskisen said the Kissakoski mill had positive profitability expectations but the ultimate goal was to find synergies, expand the product portfolio, balance wood procurement and increase efficiency at its own Jarvela sawmill.
